Why are investors suddenly willing to pay 18 times earnings for General Mills?
It's a conundrum and one which Jim Cramer finds vexing.
"Last year investors were only willing to pay 15 times earnings and back in 2009 it was 12 times earnings," explained the Mad Money host.
In other words, investors have grown more willing to pay a greater premium for General Mills stock today than they were in 2012.
That may be typical of a growth stock, in which the Street rewards explosive sales potential – but General Mills is a very mature company. It's not facing an exponential increase in sales.